On October 31, Qiao Longde, former president of China Building Materials Federation, and Shao Jun, chairman of China Cement Network, visited Hongshi Group and were warmly received by Zhang Xiaohua, chairman of Hongshi Group. The two sides had in-depth exchanges on the development trend of the cement industry.
Zhang Xiaohua warmly welcomed the arrival of Qiao Longde and Shao Jun, and thanked Qiao Longde and China Cement Network for their support and encouragement to Red Lion Group over the years.
Zhang Xiaohua first introduced the development of Red Lion Group, which is one of the top 500 enterprises in China and one of the top 500 private enterprises in China. It has more than 60 large cement plants in 12 provinces, Laos, Nepal, Indonesia and other countries, with an annual capacity of 120 million tons.
At present, the cement industry is facing a complex situation of declining demand and low prices. Zhang Xiaohua said that in the past few years, the industry efficiency has been greatly improved by "reducing production" through peak staggering production. Most cement enterprises have benefited, and a large amount of capital has entered the industry, aggravating the degree of overcapacity. When the market goes down, cement enterprises should pay more attention to fine management and enhance their competitiveness through technological progress such as digital empowerment, energy saving and consumption reduction, and alternative fuels.
Faced with the aggravation of overcapacity, the cement industry should shift from "de-production" to "de-capacity". There are two kinds of "capacity cutting", one is competitive capacity cutting, which makes inefficient capacity exit through market competition, but this way of capacity cutting will make the industry benefit low and few winners; the other is rational capacity cutting, which makes inefficient capacity exit with returns, which can not only improve the concentration, but also make the industry achieve good benefits. To achieve rational "capacity removal", peers need to have a profound understanding of the industry trend, but also need a big pattern and great wisdom.
In 2022, Red Lion Group began to set foot in the photovoltaic field. As the controlling shareholder of Asia Silicon (Qinghai) Co., Ltd., and the construction of an annual output of 100,000 tons of polysilicon and supporting projects in Haidong City, Qinghai Province, polysilicon has gradually become a new growth point of Red Lion Group. Zhang Xiaohua said that Red Lion Group has decided to build the development strategy of "cement + polysilicon" dual-industry pattern, strengthen and refine cement, and accelerate the layout of polysilicon to form a scale.
Qiao Longde highly affirmed the development of Red Lion Group in recent years, and said that Red Lion Group is the "leader" of private enterprises. He said that when the overall cement market is in the doldrums, Red Lion Group still maintains a good momentum of development, and is confident to face difficulties, which is due to Red Lion Group's accurate judgment and long-term vision of the industry situation. Zhang Jian, General Manager of Marketing Department of Red Lion Group, Zhang Xiaofei, General Manager of Finance Department, Jiang Xun, General Manager of China Cement Network, Si Jun, Head of Intelligent Robot Sector of China Cement Network (Spare Parts Network), etc. Also
participated in the exchange.